IRS Relief – Covid19/Coronavirus

 

The IRS issued Notice 2020-17 “Relief for Taxpayers Affected by Ongoing Coronavirus Disease 2019 Pandemic” on March 18, 2020. 

 

The Notice provides relief to any person or corporation with a federal income tax payment due April 15, 2020.  The due date for making federal income tax payments has been postponed until July 15, 2020.  The postponed payment amount is up to $10,000,000 for C corporations (including consolidated returns) and $1,000,000 for individuals (single individuals or married individuals filing a joint return). This postponement includes estimated tax payments due April 15, 2020 for the taxpayers’ 2020 tax year. Payments made under this postponement are not subject to late payment or underpayment penalties.  Any amounts owed in excess of these limits must be paid by April 15, 2020 or will be subject to penalties.

 

No extension is provided in this notice for the payment or deposit of any other type of federal tax or for the filing of any tax return or information return.  Therefore all returns or extensions must be filed by the April 15th deadline. 

 

The Notice does not provide relief for any state payments or filings due April 15, 2020.

 

We continue to monitor the situation and will provide further updates and information as available.

 

If you have questions or would like to discuss your specific situation, please contact your Lopata, Flegel service team directly.